The Facility and its Purpose Sample Clauses
The "Facility and its Purpose" clause defines the specific financial arrangement being provided, such as a loan or credit line, and outlines the intended use of the funds. It typically details the type, amount, and permitted uses of the facility, ensuring that the borrower understands any restrictions or obligations regarding how the funds may be applied—for example, limiting use to working capital or a particular project. This clause serves to clarify the scope of the lender’s commitment and helps prevent misuse of funds, thereby protecting both parties’ interests and ensuring the facility is used as intended.
The Facility and its Purpose. 2.1 Agreement to lend Subject to the terms and conditions of this Agreement, and in reliance on each of the representations and warranties made or to be made in or in accordance with each of the Security Documents, each of the Banks agrees to advance to the Borrower its Commitment of an aggregate principal amount not exceeding the Maximum Facility Amount to be used by the Borrower for the purposes referred to in the Recital.
2.2 Drawings Subject to satisfaction by the Borrower of the conditions set out in Clause 3.1 (in respect of the first Drawing), or Clause 3.2 (in respect of all subsequent Drawings) and subject to Clause 2.3, and provided that the maximum aggregate amount of the Facility Outstandings at any given time during the Facility Period shall not exceed the Maximum Facility Amount, each Drawing shall be advanced to the Borrower, in each case by the Agent transferring the amount of the Drawing to such account as the Borrower shall notify to the Agent in the relevant Drawdown Notice by such same day method of funds transfer as the Agent shall select.
The Facility and its Purpose. 2.1 Agreement to lend Subject to the terms and conditions of this Agreement, and in reliance on each of the representations and warranties made or to be made in or in accordance with each of the Security Documents, each of the Banks agrees to advance to the Borrower its Commitment of an aggregate principal amount not exceeding the Maximum Facility Amount to be used by the Borrower for the purposes referred to in the Recital provided however that any Drawing that the Borrower intends to use as a Distribution Drawing shall be designated as a Distribution Drawing in the relevant Drawdown Notice completed in accordance with clause 2.3 and such Distribution Drawing shall be subject to the repayment terms set forth in Clause 5.1.
2.2 Drawings Subject to satisfaction by the Borrower of the conditions set out in Clause 3.1 (in respect of the first Drawing), Clause 3.3 (in respect of all subsequent Drawings), and subject to Clause 2.3, and provided that the maximum aggregate amount of the Facility Outstandings at any given time during the Facility Period shall not exceed the Maximum Facility Amount, each Drawing shall be advanced to the Borrower, in each case by the Agent transferring the amount of the Drawing to such account as the Borrower shall notify to the Agent in the relevant Drawdown Notice by such same day method of funds transfer as the Agent shall select. \P1\3522333.10
The Facility and its Purpose. 2.1 Agreement to lend Subject to the terms and conditions of this Agreement, and in reliance on each of the representations and warranties made or to be made in or in accordance with each of the Security Documents and the Guarantee, each of the Lenders agrees to advance to the Borrowers its Commitment of an aggregate principal amount not exceeding the Maximum Amount to be used by the Borrowers for the purposes referred to in Recital (B), with the relevant Vessel Tranche Maximum Amount being the maximum amount that may be drawn down under the Loan for each Vessel.
The Facility and its Purpose. 2.1 Agreement to lend Subject to the terms and conditions of this Agreement, and in reliance on each of the representations and warranties made or to be made in or in accordance with each of the Security Documents:
2.1.1 each of the Senior Lenders agrees to advance to the Borrowers its Commitment of an aggregate principal amount not exceeding the Buyer Credit Maximum Amount to be used by the Borrowers for the purposes referred to in Recital (B), with the relevant Buyer Credit Vessel Tranche Maximum Amount being the maximum amount that may be drawn down for each Vessel; and
2.1.2 each of the Junior Lenders agrees to advance to the Borrowers its Commitment of an aggregate principal amount not exceeding the Junior Loan Maximum Amount to be used by the Borrowers for the purposes referred to in Recital (C), with the relevant Junior Loan Vessel Tranche Maximum Amount being the maximum amount that may be drawn down for each Vessel.